Klondike Gold Corp told investors that fieldwork at its Klondike District gold project in Yukon is expected to begin in late April, with drilling anticipated to begin in mid-May.
In an update on its planned 2022 exploration activities, the company said it plans to complete approximately 8,000 metres of drilling using up to two drill rigs.
Work will initially target potential extensions to gold mineralization at the Stander Zone, which has previously yielded near-surface drill intersections with the highest gold grades of any prospect identified to date at the project. Further drilling is also planned to test for extensions to Lone Star Zone gold mineralization and to test other targets.
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"The company plans to deliver an initial inferred mineral resource in 2022, prospectively the first in-situ bedrock gold resource ever identified in the 125-year history of gold exploration in the Klondike Goldfields, finally confirming local sources of gold to begin accounting for the over 20 million gold ounces extracted from placer mining in the creeks and gulches since 1896,” CEO Peter Tallman said in a statement.
“Building on this, the company has a number of ‘pipeline' targets within our district-spanning 586 square kilometre project that we believe will yield future discoveries and further demonstrate the significant economic potential of this historic gold district,” Tallman added.
Upon release of the mineral resource, Klondike Gold said it also expects to commission a preliminary economic assessment (PEA) for completion in 2023. In preparation for the PEA, it said its 2022 fieldwork includes metallurgical testing and additional permitting, as well as environmental and heritage resource studies.
The company said it has recently expanded its geological team and has begun retaining engineering and other outside contractors to form an experienced, multi-disciplinary group to deliver significant advances to the project over the next year. The project team is currently completing the work necessary for underpinning the initial inferred mineral resource and will be directing 2022 exploration work to expand it, it added.
Additionally, it said a NI 43-101 technical report by SRK Consulting of Toronto summarizing geology and exploration on the project is nearing completion and will be released when received.
It also contracted GeoCloud Analytics of Melbourne, Australia, to complete a detailed re-interpretation of the 2019 LiDAR survey data, with work also nearing completion to finalize a re-interpretation of the dataset covering the entirety of the company's claims before the 2022 field season.
Meanwhile, it said it has filed a placer mining permit for renewal of its Upper Eldorado Creek operation and a quartz exploration permit for renewal of exploration activities in the southeast end of the Klondike District property.
Klondike Gold Corp is a Vancouver-based explorer advancing its 100%-owned Klondike District gold project in Dawson City, Yukon - one of the top mining jurisdictions in the world.
Contact the author at stephen.gunnion@proactiveinvestors.com